County Durham tech firm Kromek said it is looking to the future with confidence after seeing a lift in orders across its business divisions.
Issuing a trading update to shareholders for the year ended April 30, the NETPark based radiation detection firm said it had an extensive commercial pipeline and rising activity across all its segments - medical, security screening and nuclear.
It said orders and shipments resumed towards the end of the first half of the year, and that the momentum has continued for the rest of the year, with the group delivering previously awarded contracts as well as winning new orders.
As a result, the group said it has achieved “significant sequential revenue growth” in the second half of the year and expects to report revenue and EBITDA in line with market expectations when it announces full year results in July.
The trading update detailed how the business made progress across all its business units in the second half of the year.
In the medical imaging division, Kromek’s customers rolled out their next-generation products based on the group’s technology, including the group’s manufacturing customer that previously awarded a medical imaging contract expected to be worth up to $58.1m (£41.1m)
The installation of the customer’s medical imaging scanners, which is taking place across a number of countries, ramped up in the second half of the year as planned.
Meanwhile in the nuclear security segment, the group received new orders from government customers for its ‘dirty bomb’ detecting D3S-related technologies, including a contract extension from its European-government related company customer.
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It also added a new customer, a US government agency, for its D3S-ID product, received repeat orders from a US government customer for its CZT detectors for nuclear security applications, and received orders from the European Commission’s Directorate-General for Migration and Home Affairs for the group’s D3S drone radiation detectors.
Lastly, in the security screening segment, Kromek received orders for its tech to be designed into an advanced baggage screening system in the US.
Earlier this year Kromek raised £13m from investors to drive forward its plans for growth, which include ramping up its commercialisation rate, expanding its sales and marketing for the group’s nuclear detection and medical imaging activities, and to strengthen the balance sheet.
The statement concluded: “The group remains excited about the potential for its new market segment of biological threat detection.
“During the second half of the year, the group commenced piloting its airborne Covid-19 detection solution at an airport and at another public place, which are progressing according to plan and the board looks forward to providing an update on the next steps in due course.
“Consequently, and combined with the successful fundraising completed in the second half of 2020/21, the group is well-placed to capitalise on the opportunities across its business and the board continues to look to the future with increased confidence.”